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Omnicare, Inc. Agreed to a $124 Million Settlement to Resolve Whistleblower Claims Concerning an Alleged Swapping Scam Involving Below Cost Discounts and Medicare and Me
Date:7/18/2014

0.html" >Department of Justice. The state per diem claims are being handled in a whistleblower lawsuit pending in the United State District Court, District of New Jersey (United States ex rel. Silver v. Omnicare, Inc., et al., Case No. 1:11-cv-01326-NLH, filed September 19, 2013). This lawsuit also alleges that Omnicare was involved in other kickbacks related to fee-for-service contracts.

This whistleblower lawsuit, once settled, will provide the whistleblower, former Omnicare pharmacist Donald Gale, with more than $17 million. The states, which jointly funded the Medicare and Medicaid programs impacted by the alleged Omnicare misconduct will receive $8.24 million of the settlement. The federal government will receive the remainder. (United States ex rel. Gale v. Omnicare, Inc., 1:10-cv-00127-JG, U.S. District Court, Northern District of Ohio, (Cleveland), filed on October 24, 2013)

Whistleblowers are crucial to stopping illegal employer activities that may harm citizens and which may also defraud the government and other entities. What many may not realize is that, under certain circumstances, whistleblowers may also maintain their anonymity during much of the whistleblower process, notes Parker Waichman LLP.

The False Claims Act enables private persons to file lawsuits that may provide the government with details that concern such wrongdoings. Under the statute, if it is established that a person knowingly submitted and/or caused others to submit false or fraudulent claims to the United States, the U.S. government may then recover treble damages, Parker Waichman LLP also pointed out. Additional monies may also be received for every statute that has been violated. Should the government successfully resolve or litigate its claims, the whistleblower who initiated the action may also receive a significant portion of the recovered amount.

According to the

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